Source - SMW
Equity research analysts at Goldman Sachs have removed multi-channel fashion retailer Next (LON:NXT) from its list of stocks to avoid and upgraded to a more moderate 'neutral' rating (from 'sell') after revisiting its valuation in the aftermath of the recent Brexit vote, which it says was less dramatic than feared.

Goldman said: "We argue that Next is better placed than other relatively mature domestic retail peers, given that it offers investors more moderate store-based sales cannibalisation (stemming from an already market-leading 40% online sales penetration), and higher cash generation (calendar 2016E ROCE 66% vs MKS 12%, DEB 10%)."

The broker has increased its price target to 5,600 pence per share from 4,800 pence.

The shares were up 10 pence, or 0.18%, at 5,620 pence by lunchtime.